Mozambique’s public debt totals US$3.9 billion in 2008

7 January 2011

Maputo, Mozambique, 7 Jan – Mozambique’s foreign and domestic public debt in 2008 stood at US$3.9 billion, a rise of US$400 million on 2006, according to the Annual Report on Public Debt presented by the Finance minister.

The report presented this week by Manuel Chang also said that in the same period – 2006/2008 – domestic debt fell slightly from US$339 million to US$295 million, accounting for 7.5 percent of total public debt.

From 2007 to 2008, the debt portfolio rose by around US$283 million, a rise of 7.7 percent in cash requested from Mozambique’s cooperation partners, mainly multilateral institutions, to cover, “new financial obligations.”

Mozambique’s public debt stood at US$4.8 billion in 2004 but, following a number of negotiations with multilateral and bilateral creditors, in 2006 this level fell to US$3.549 billion.

Two years later, as part of negotiations with Paris club members, Mozambique benefited from a debt pardon of US$47.2 million under the terms of an agreement reached with Portugal. (macauhub)